The Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN), has urged the Federal Government to take a further step towards full deregulation of the downstream sector to enhance economic growth and development of the nation.
The government in March of this year, introduced a price modulation policy where international product prices and associated landing costs in Nigeria are used as input in the determination of final pricing to the local market by government through the Petroleum Products Pricing Regulatory Agency (PPPRA) and disclosed periodically.
Commending the government for consistently seeking ways to reposition the sector for effectiveness and profitability, DAPPMAN Chairman, Mrs. Winifred Akpani said DAPPMAN remained in full support of the implementation of a fully deregulated regime which will make the downstream sector’s operations more seamless, enhance transparency, competitiveness and sustainable growth.
“DAPPMAN is mindful of the commitment of the government and the functional organs managing the sector to ensuring value to every Nigerian and we salute them for this as we are indeed up against uncertain times. However, we believe that full deregulation of the sector remains the most viable option for Nigeria to effectively navigate this period and ultimately safeguard the future of our economy and wellbeing of 200 million Nigerians,” she said.
According to Mrs. Akpani, deregulation will open up the sector for fresh investments, market deepening, diversification, and expansion, culminating in stable demand and supply regimes which are critical to ensuring that consumers have uninterrupted access to affordable quality products without the huge financial burden currently borne by the government.
“DAPPMAN is aware of the considerations that have dogged the issue of deregulation over the years and we believe they are very important. However, we believe these considerations will be duly addressed with a deregulation regime that guarantees long-term benefits and empowers the government to commit savings made in the process to infrastructure development, job creation, agricultural revolution, education and health. This will spur growth of Small and Medium scale Enterprises (SMEs) as well as large corporates, that would increase Nigeria’s human capacity index, competitiveness and ultimately drive inflow of foreign investments,” she added.
On its response to the Covid-19 pandemic, Mrs. Akpani who is also the Managing Director and Chief Executive Officer of Northwest Petroleum and Gas Company Limited, said DAPPMAN had contributed towards the upgrade of medical facilities, distributed tens of thousands of masks and sanitizers; and made donations of relief items to hundreds of thousands of beneficiaries across the nation.
She said: “It has been a privilege for DAPPMAN to reach out to the vulnerable at this time through the Association’s intervention projects and the individual efforts of our members. We continue to urge the good people of Nigeria to stay safe by strictly observing all precautionary measures to stop the spread of the virus. We will certainly overcome the pandemic working together.”
Comprising companies engaged in the storage and marketing of bulk petroleum products, DAPPMAN continues to work with other stakeholders to ensure the sector’s sustainability, while holding its members accountable to the highest quality, health, safety, security and environmental standards.
Why Digital Competitive Intelligence is a must have for business especially in challenging economic times (Part 2)
To survive in an industry with cut-backs, digital competitive intelligence is what will keep you afloat.
Above is a full guide of what to look for in the report so you can get the most from its use, and also kindly view the first part of this discussion here.
The explanatory chart above shows customer sentiment (negative and positive feelings towards the leading technology brands). Jumia had the highest customer mentions, about 237 for the reporting period (from social/Twitter conversation and Web mentions) being the highest in the industry for the reporting period with 30.8% of the conversations positive; 59.93% neutral; and 9.29% negative mentions (a good performance for the brand).
This was followed by Paystack with approximately 220 mentions for the reporting period, with 30.13% positive mentions; 57.64% neutral (approximately 2% less than Jumia), and 12.3% negative (about 3% higher than Jumia).
The margin between Jumia and Paystack soon widened and we will soon see in the explanatory chart below in the area of the frequency and reach of their messages below.
Remember that Jumia had 237 mentions for the reporting period, and Paystack had about 220 mentions in the reporting period. The approximate reach (how many people the message was exposed to) for Jumia was 5.5 million. That means the average reach per unique mention is 23,206, while Paystack on the other-hand had 220 mentions with a message reach of 1million, the average reach per unique mention of 4,545.
Although the mentions are close (a difference of 17) the unique reach of Jumia is 500% more than that of Paystack. The good side of having a good reach is that if you have positive mentions, it reaches more people but if it is negative it also reaches more people.
The social conversation/mentions cloud below shows what the social conversations around the brand were, with Jumia having conversations around Jumia, sale, stake, you MTN, and Paystack having conversations around acquisition, Partners, Google, Flutterwave Stripe payment.
To further know what conversations in social media had the highest impact on the brands, we look at Top mentions below, which gives us the exact mentions with the highest reach for each brand.
As we can see above in Top mentions report following the social conversation cloud, Jumia Nigeria was busy with its business of selling “Enjoy 80% off appliances during Black Friday”, a conversation that shows that if you are in the technology/e-commerce space you must take Black Friday seriously and if you are competing with Jumia you must be ready to do above 80% off discounts on appliances.
That is just one insight from Jumia. Other top social mentions we see is the sale of MTN’s stake in Jumia mentioned By AriseTV and Fin24. Is MTN selling its stake in Jumia something to worry about? That is, is MTN exiting because the brand has yielded multiple investment returns or exiting because they see no future in the investment again?
Next, let’s remember that this is an industry/competitive intelligence report monitoring and reporting on over 20 brands (NSE listed and non-listed industry leaders). So we move to mainstream news/web where many of the other brands get equally mentioned in the news.
Opportunities and Threats News Highlights
Federal Government gives 3 days to Airtel to repair network and respond to complaints (as an ICT provider, you need to worry about this news here and put proactive measures in place to forestall government interventions).
Mtn raises 2.3 billion from sale of Jumia (This was already seen from social conversational cloud media)
MTN Nigeria tops 75million subscribers
MTN adds 12milllion Subscribers in Q3
MTN Nigeria expand footprint SANS Covid
MTN Nigeria profit drops as Nigeria struggles against Dollar.
MTN group service revenue up by 11% Q3
Every Friday is Black Friday on Jumia-Youtube(Black Friday is very important in ICT industry take note)
Stripe acquires Nigerian Tech Company
Paystack partner Google to train 500,000 SME
Content developer at Tecno
Finally let’s see the influencer promoting this brands so that other brands can learn from the social media engagement of influencers to do better.
Jumia had the best use of social influencers, following results from the first data between Jumia and Paystack’s reach and frequency. All other brands like Andela, Chamsplc, Courtville Business plc, CWG Plc, E-transact, Flutterwave, Main-one, Omatek, NCR, Zinox, are also monitored in this ICT industry report, but the tool didn’t find important news on the web and social about them at the reporting time.
Looking at the above daily insights, your brand will be getting when subscribed to the competitive intelligence report, I am sure by now you know what value the intelligence report brings to your brand. It is also so affordable at current 1,000 daily (all thanks to the Nairametrics team for making this possible). Spaces are limited and at the speed of the current subscription rate, the Nairametrics quota will be filled before the 23rd of November end date. Hurry and subscribe HERE
Industries available include; Banking, Insurance, Professional service, Industrial Goods, Consumer goods, Real Estate and Construction, Agriculture, Natural resources, Oil and Gas, Healthcare, Conglomerates, ICT, and other services.
Temiloluwa Sobowale is a Kellogg Alumni certified executive scholar in Sales and Marketing Analytics, co-founder of www.brandmanager.ng and CEO of Intelligent Interactive Limited, a Brand Marketing and Digital Analytics company in Nigeria.
Stakeholders demand full deregulation of downstream oil and gas sector to accelerate investments, product sustainability
The recent increase in retail prices of PMS has been met with calls for a full and transparent deregulation of the downstream oil and gas sector.
Resurgent calls for a full and transparent deregulation of the downstream oil and gas sector have greeted the recent increase of about 5% from N160/litre to N168/litre in the retail prices of premium motor spirit (PMS).
Stakeholders in the downstream value chain of the oil and gas sector insist that deregulation remained the “most appropriate and sustainable” direction available to the nation as global price of crude oil continues to reel under the pressure of the global coronavirus pandemic.
Analysis of the sector shows that with the current pump price of PMS at N168/litre, the Cost of Sales (COS) which represents the direct cost attributable to bringing PMS to the point of sales is estimated at about N161.81/litre. This represents 96.32% of the total cost to marketing and distribution companies, which implies that such companies based on the pricing template only have a thin margin of about 3.68% to cover running costs and make additional investments in infrastructure development.
Further analysis showed that access to forex which leans in favour of the Nigerian National Petroleum Corporation (NNPC) creates what experts described as a “monopolistic wholesale market” that thrives on “lopsided pricing mechanism within the market.”
Energy expert Dr. Babajide Agunbiade (Director National Oilwell Varco based in Houston, United States) said Nigeria may never harness the full development potentials of its oil and gas sector with the continued inefficiencies within the value chain.
“Deregulation would reposition the sector and free the government to focus on its traditional role of creating an enabling environment for the growth of the sector and the economy.”
Industry watchers say there is an urgent need for marketers to participate in the supply of PMS to promote efficiency, sufficiency, and greater value for consumers.
They opined that a full and transparent deregulation of the downstream sector would lead to competitive pricing mechanisms which would facilitate the needed partnerships and more investments in the sector.
“Market forces should be allowed to determine price mechanisms and regimes as this will ultimately balance out challenges relating to availability, thereby attracting needed investment into the sector and optimising supply chain efficiencies,” they added.
Speaking on deregulation of the sector, Mrs Winifred Akpani, Chairman, DAPPMAN said the organisation welcomes recent development around the subject but believes “now is the time for the sector to embrace full deregulation.”
“As deregulation opens up the market for new opportunities, we will begin to witness unprecedented push in the sector towards promoting global standards in the Supply Chain Management thereby creating a system that gives the buying public added value for money. We have an opportunity to transform this sector to ensure more transparency, professionalism and long-term sustainability,” she explained.
She added: “DAPPMAN is committed to our objectives of creating, maintaining and managing a Supply Chain System that would bring about Value Added service provision to the buying public as well as increase job creation atmosphere (directly and Indirectly) through the needed stakeholder investments in infrastructure development, new technology and human capital.”
Akpani added: “However, for collaboration to be effective, we need to have a system where economic principles of demand and supply play a lead role in the deregulation process thereby increasing the levels of competition that would stabilize the market disequilibrium and ultimately deliver a system of market driven pricing mechanism for all stakeholders.
PMS pricing remains a contentious issue in Nigeria amid calls for full deregulation which are expected to continue.
9PSB Board appoints Branka Mracajac as CEO
9 Payment Service Bank has announced the appointment of Branka Mracajac as CEO designate.
The Board of Directors of 9 Payment Service Bank (9PSB) has announced the appointment of Branka Mracajac as the CEO designate. A seasoned Enterprise Resource Planning expert, Branka brings on board, an enviable record of accomplishments in digital financial services and risk management.
Prior to her appointment by 9PSB, Branka demonstrated her ingenuity during her stint at Digital Finance International in Russia and other markets. She is a versatile professional with top management experience of over 15 years in digital finance across 30 markets globally.
The Serbian national has worked in accelerating the adoption of digital payments and facilitated financial inclusion for various markets across Europe and other emerging markets around the world.
The Central Bank of Nigeria recently granted final approval to Nigeria’s digital lifestyle bank, 9PSB, to commence operations in fostering financial inclusion in Nigeria’s banking ecosystem.
With Branka’s leadership and experience backed by a competent and committed board of directors, 9PSB is set to deliver high-end digital banking and financial inclusion services that will make transactions easier, convenient and accessible for people of all social classes in Nigeria.
Speaking on the appointment of Branka, the Chairman, Board of Directors, 9PSB, Chief Ikenna Kevin Okafor, stated that, “Branka is experienced in business strategy, corporate finance, policy implementation and risk management. I am certain that she will provide strategic leadership which will facilitate financial inclusion and increase financial payment across all market segments in the urban and rural areas of Nigeria.”
Responding to her appointment, Branka stated that “The pace of change in today’s Fintech industry is exceptional and I am delighted to be offered the opportunity to lead 9PSB at this early stage in its development. I look forward to using my experience to launch the 9PSB brand into the Nigerian Fintech market. The goal is to ensure that we are at the forefront of financial inclusion using the most innovative offerings.”
Ahead of the appointment of a CEO, the Board of Directors at 9PSB worked round the clock with a team of consultants who helped in establishing the company in the last 16 months. Members of the 9PSB’s board of Directors include Asega Aliga, Olurotimi Oladimeji Adebanjo, Amina Tukur-Tarfa, Samuel Okwulehie, Mohammed Edewor, Phillips Oki, Simeon Oyakhilome Okoduwa and Chief Ikenna Kevin Okafor, who chairs the board.
They all come with rich and varied pedigree, which they have deployed at the disposal of 9PSB. Leading the board is Chief Ikenna Kevin Okafor, a philanthropist and the ex-President of the Southern-east chapter of the Lagos Business School Association. On his part, Mr. Asega Aliga is an investment banker, entrepreneur and financial services professional. He is passionate about capacity building and strategic global alliances for Pan-African investment opportunities.
Mr. Olurotimi Oladimeji Adebanjo holds an MBA from the University of Pretoria and is currently the regional director, South and East Africa at e-tranzact Global, South Africa. Serving as the only female on the board, Amina Tukur-Tarfa is a highly engaged individual with over two decades of top flight experience in the areas of HR Recruitment, Operations, Employee Services and Administration. She also has, relevant experience as a HR Generalist and HR Specialist with key areas of knowledge and proficiency. Equally on the board is Mr Samuel Okwulehie, a Senior Advisor at Boston Consulting Group. He has a vast experience in commercial operations and global logistics gained from many years in the international airline industry.
Mr. Mohammed Edewor (Esq) is a serial entrepreneur and erudite lawyer with over 40 years of business and legal experience. Edewor has vast business interests in telecommunications, banking, manufacturing, oil and gas. Also, on the board is Mr. Phillips Oki an Economist and Fellow of the Institute of Chartered Accountant of Nigeria (FCA). He is a seasoned venture capitalist. Mr. Simeon Oyakhilome Okoduwa brings to the board, his core areas of expertise and experience which includes Corporate & Commercial Law Advisory; Dispute Resolution/ADR; Corporate Governance Audit & Remediation and Doing Business Advisory.